Meeting in Norwalk, Conn. (the board’s headquarters), FASB also agreed that early adoption of the model will be permitted for all organizations for fiscal years beginning after Dec. 15, 2018, including interim periods within those fiscal years.

Specifically, FASB outlined implementation dates as:

For private companies, not-for-profit organizations, and employee benefit plans, the standard will be effective for annual periods beginning after Dec. 15, 2020, and interim periods within fiscal years beginning after Dec. 15, 2021.

For public companies that meet the definition of a U.S. Securities and Exchange Commission (SEC) filer, the upcoming standard will be effective for fiscal years (and interim periods within those fiscal years) beginning after Dec. 15, 2019.

Other public companies will be required to apply the guidance for fiscal years beginning after Dec. 15, 2020, including interim periods within those fiscal years.

FASB describes CECL as “a new accounting standard that provides timelier financial reporting of credit losses on loans and other financial instruments held by financial institutions and other organizations.” In a release, FASB also noted that it received more than 3,360 comment letters on a 2010 Exposure Draft and a 2012 Exposure Draft on CECL. The release also noted that the board participated in more than 95 meetings with financial statement preparers; and hosted 8 public roundtables, and 15 preparer workshops. “In addition, the FASB met with more than 200 users of financial statements,” the release stated.

The group stated that it expects the final standard on the model (“Accounting Standards Update” (ASU)) will be published in June to give preparers “enough time to review and prepare for the changes by the effective dates.”